Justia Mississippi Supreme Court Opinion Summaries

Articles Posted in Utilities Law
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The Mississippi Public Service Commission (the Commission) authorized a rate increase for Entergy Mississippi, LLC (Entergy) based on a joint stipulation with the Mississippi Public Utilities Staff (the Staff). Rankin County, an Entergy customer, intervened, disputing the exclusion of unbilled revenue from Entergy’s operating expenses. The Commission found substantial evidence supporting the rate increase and deemed new issues raised by Rankin County on appeal as waived.Rankin County intervened in the Commission’s proceedings, challenging the exclusion of unbilled revenue from Entergy’s operating income. The Commission held a public hearing, but Rankin County did not present admissible evidence. The Commission approved the rate changes, including an Annual Rate Adjustment and an Interim Rate Adjustment, based on Entergy’s financial data and the Formula Rate Plan. Rankin County appealed directly to the Supreme Court of Mississippi without seeking rehearing from the Commission.The Supreme Court of Mississippi affirmed the Commission’s order, finding that the exclusion of unbilled revenue was reasonable and supported by substantial evidence. The court held that Rankin County waived new issues raised on appeal by not presenting them to the Commission. The court also found no merit in Rankin County’s arguments regarding the recalculation of net rate adjustments, the application of the 4 percent cap on revenue increases, and the management of Entergy’s confidential records. The Commission’s order was affirmed as it complied with statutory and regulatory procedures, and the rate adjustments were not arbitrary or capricious. View "Rankin County, Mississippi v. Mississippi Public Service Commission" on Justia Law

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Members of Delta Electric Power Association filed a lawsuit against the cooperative seeking the return of excess revenue and receipts. Delta moved to compel arbitration. The trial court found that the arbitration clause contained in the bylaws was procedurally unconscionable and denied Delta’s motion to compel. After Delta appealed the trial court’s decision, the Mississippi Supreme Court decided Virgil v. Southwest Mississippi Electric Power Association, 296 So. 3d 53 (Miss. 2020), in which it found an arbitration agreement contained in a cooperative’s bylaws to be valid and enforceable. Because the Supreme Court determined the issues in this case were almost identical to the issues decided in Virgil, precedent required it Court to reverse the trial court’s decision denying Delta’s motion to compel arbitration. View "Delta Electric Power Assn. v. Campbell" on Justia Law

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Southwest Mississippi Electric Power Association (Southwest) was a nonprofit, member-owned electric cooperative corporation created by statute to provide electricity to rural Mississippians. Plaintiffs Ray Virgil, Barbara Lloyd, and Cassandra Johnson were are members of Southwest who filed a lawsuit alleging Southwest failed to return excess revenues and receipts to its members. Southwest moved to compel arbitration. The trial court granted Southwest’s motion to compel arbitration. Plaintiffs appealed. Finding no reversible error in that judgment, the Mississippi Supreme Court affirmed. View "Virgil v. Southwest Mississippi Electric Power Association" on Justia Law

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Families filed suit at the Circuit Court seeking, inter alia, a declaratory judgment that they owned lignite under a Mississippi Power Company (“MPC”) plant built on land MPC had purchased, a fact not disputed by any party. One month later, MPC filed suit to confirm and quiet title to its property and further asserted that lignite could only be removed economically by surface mining, a fact not disputed by any party. MPC asked to enjoin all defendants from asserting any right, title, or interest to the lignite. Alternatively, MPC asked for a declaratory judgment that lignite removal would deplete and destroy the surface of its land, rendering it unusable, a fact not disputed by any party. Two orders at issue before the Mississippi Supreme Court were "authored by two learned trial judges—one chancery, one circuit." Although the Supreme Court's review was de novo, the applicable law was neither new nor novel. Because neither trial court failed to follow controlling law, the Supreme Court affirmed. View "Barham v. Mississippi Power Company" on Justia Law

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From November 2004 to January 2011, The Door Shop, Inc., utilized $36,081.86 of electricity from Alcorn County Electric Power Association (ACE). But because of a billing error, it was charged only $10,396.28. Upon discovering the error, ACE sought to recover the $25,658.58 difference via supplemental billing. The Door Shop refused to pay, which prompted ACE to file suit. The Mississippi Supreme Court determined that as a matter of law, the Door Shop had to pay, and affirmed the circuit court's order. View "The Door Shop, Inc. v. Alcorn County Electric Power Association" on Justia Law

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In February 2006, BellSouth Telecommunications, Inc., and BellSouth MNS, Inc., filed an ex parte motion for a protective order in the Chancery Court, seeking to protect certain documents. The documents fell into the following four categories: (1) an August 2005 proposal submitted by BellSouth to the Mississippi Department of Information Technology Services in response to the Department’s request for telecommunications products and services; (2) the Telecommunications Products and Service Agreement between BellSouth and the Department dated November 2005; (3) correspondence between BellSouth and the Department related to the first two documents; and (4) related BellSouth marketing materials. Following legislative amendments in 2015 to the Mississippi Public Records Act of 1983 and to Mississippi Code Section 25-1-100, CellularSouth sought production of the proposal and the contract between the Department and BellSouth. After review, the Supreme Court found the chancery court erred in its interpretation of the amended Mississippi Code Section 25-61-11 when it entered an order continuing to protect the contract from production. Furthermore, the Court held that, because the rights in question in the case sub judice were created by statute, the Public Records Act, as amended, governed this dispute. Accordingly, the Court reversed and remanded for further proceedings. View "Cellular South, Inc. v. BellSouth Telecommunications, LLC" on Justia Law

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This is the third appeal from the City of Gulfport’s taking of the Dedeaux Utility Company via eminent domain. Dedeaux appealed after the first two trials, and the Mississippi Supreme Court reversed and remanded both times. The parties have since held a third trial, and Gulfport appealed and Dedeaux cross-appealed issues raised from the third trial. Gulfport raised thirteen issues on appeal. And while the Court gave careful consideration to each, the Court found only five warranted discussion, and yet none warranted reversal of the third trial's final judgment. Gulfport asked the trial judge to “determine a fair and equitable interest rate to be paid on the Final Judgment based upon the rates paid on invested funds during the time period in which the eminent domain action was pending.” The Supreme Court reversed the trial judge’s post-trial order denying Gulfport’s motion to establish the interest rate, and remanded this action to the Harrison County Special Court of Eminent Domain for the limited purpose of determining the applicable interest rate and entering an order requiring payment of that interest. The Court declined to address Dedeaux’s cross-appeal. View "City of Gulfport v. Dedeaux Utility Company, Inc." on Justia Law

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This is the third appeal from the City of Gulfport’s taking of the Dedeaux Utility Company via eminent domain. Dedeaux appealed after the first two trials, and the Mississippi Supreme Court reversed and remanded both times. The parties have since held a third trial, and Gulfport appealed and Dedeaux cross-appealed issues raised from the third trial. Gulfport raised thirteen issues on appeal. And while the Court gave careful consideration to each, the Court found only five warranted discussion, and yet none warranted reversal of the third trial's final judgment. Gulfport asked the trial judge to “determine a fair and equitable interest rate to be paid on the Final Judgment based upon the rates paid on invested funds during the time period in which the eminent domain action was pending.” The Supreme Court reversed the trial judge’s post-trial order denying Gulfport’s motion to establish the interest rate, and remanded this action to the Harrison County Special Court of Eminent Domain for the limited purpose of determining the applicable interest rate and entering an order requiring payment of that interest. The Court declined to address Dedeaux’s cross-appeal. View "City of Gulfport v. Dedeaux Utility Company, Inc." on Justia Law

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Thomas Blanton sought judicial review of certain rate increases approved by the Public Service Commission for Mississippi Power Company (“MPC”). An examination of controlling law and statutes, the Constitutions of the United States and Mississippi, and a comprehensive review of Commission proceedings revealed that Commission failed to comply with the language of the Base Load Act, inter alia, and exceeded its authority granted by the Act. The increased rates were achieved by including “mirror CWIP” in the rate base and rates. Following the inclusion of “mirror CWIP,” the Commission “approve[d] the retail revenue adjustment over 2013 and 2014 . . . allow[ing] the Company an annual rate designed to collect $125,000,000 for 2013, escalating to $156,000,000 in 2014. This represented a 15% and 3% increase, respectively.” The Supreme Court found that the increased rates on 186,000 South Mississippi ratepayers failed to comport with the Act or, otherwise, with Mississippi law. Accordingly, the order granting rate increases was reversed, and the matter remanded to the Commission for further proceedings. View "Mississippi Power Company, Inc. v. Mississippi Public Service Comm'n" on Justia Law